Internal investigations inside-out

25 Jan 2006 By Dan Ackman

AIG s former boss wants to put the New York Attorney General on the witness stand as part of a novel defence against civil charges. He is upset that Spitzer used findings from an AIG probe to force him out of the insurer. But he will struggle to get Spitzer s testimony.

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Former American International Group chief Hank Greenberg is seeking to expose what he calls some nefarious dealing by New York Attorney General Eliot Spitzer, who is pursuing civil charges against Greenberg.

Greenberg's lawyers are seeking to depose Spitzer a highly unusual move so they can prove the celebrated prosecutor offered sweetheart deals to those who are now expected to testify against him. Greenberg is also challenging the use of an AIG internal investigation as the basis for charges against the former boss. Separately, Kenneth Langone, an individual defendant in the case against former New York Stock Exchange chief Dick Grasso, has made similar moves.

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